Chitra Ramkrishna (in pic), whose tenure as NSE CEO was ridden with controversies, took home a salary of Rs 23 crore for the last eight months of her stewardship. This is three-fold more than Rs 7.87 crore she had earned during the entire 2015-16. According to the NSE annual report, Rs 23 crore included variable pay, leave encashment, leave travel allowance, medical allowance and gratuity. This “excludes 50 per cent of the variable pay of Rs 1.58 crore to be paid on deferred basis after three years.”
Her successor Vikarm Limaye, who assumed charge on Monday, would get Rs 8 crore a year.
Limaye said he would give top priority to sorting out regulatory issues relating to the co-location issue and the planned IPO will be taken forward only after resolving this issue. “Our first priority is sorting out the co-location issue and the NSE IPO will depend on the resolution of the regulatory issue,” he told Financial Chronicle.
The co-location issue relates to allegations of National Stock Exchange (NSE) giving preferential access to certain brokers on the NSE servers that said to have helped some traders make gains owing to speedier execution of orders. “IPO is an important priority for me but that would happen only after the regulatory issues are sorted out,” he said.
Limaye also said investors in NSE are taken into confidence on public issue. “Investors are not upset over the delay in IPO process, they are quite understanding that IPO can happen only after the issue is sorted out as this issue has material impact on valuation and pricing of IPO.” “We will be regular touch with the investors and update them on the developments,” he added.
The NSE had filed for IPO last December with the Securities and Exchange Board of India (Sebi), but the regulatory approval is pending due to issues surrounding the ongoing probe into the co-location case.
Limaye, who has been with IDFC for a long time, was appointed as the NSE chief in February after the exit of Chitra Ramkrishna last December. Taking about the recent trade disruption due to the technical glitch, he said the NSE’s technology platform is quite robust and the recent event is an unfortunate one-off event. “NSE is known for its strong technology and we will continue to invest and upgrade it,” Limaye said. He said the NSE technical committee is looking into the issue and the report is expected this week, which will be submitted to Sebi and the government. He also noted that it is significant for the exchange to improve relationships with all the stakeholders, including the regulators, the government and the media. “It is also important for the NSE to improve stakeholder relationships, which means relationship with the government, the regulator, the clients, the media and certainly the employees,” Limaye said.